25% Policy Rate: Bank of Ghana's Latest Move to Stimulate Economic Growth
Accra, Ghana – 31 July, 2025 – The Bank of Ghana's Monetary Policy Committee (MPC) has slashed the benchmark policy rate by 300 basis points to 25%, marking the most aggressive rate reduction in recent years. This significant cut signals growing confidence in the country's macroeconomic stability, driven by a sustained decline in inflation and a relatively stable currency environment.
The new policy rate of 25% will serve as a reference for commercial banks' lending rates, potentially increasing access to credit and stimulating economic growth.
Despite the disinflation trend, the MPC acknowledges underlying risks and will closely monitor incoming data to adjust policy accordingly. The Governor hinted at possible further rate reductions if the disinflation trend continues, providing optimism for businesses and individuals seeking loans.
The MPC's decision is underpinned by the country's improving macroeconomic landscape, characterized by declining inflation and a stable currency. This move aims to support economic growth while maintaining price stability.
The rate cut is expected to have a positive impact on the economy by increasing access to credit and stimulating economic activity.
Overall, the Bank of Ghana's decision reflects its commitment to supporting economic growth while maintaining price stability. The MPC's ongoing assessment of incoming data will guide future policy decisions.
Source: Lead News Online
